On the ownership of North Waterloo Property

By Scouter Ted Claxton, 11th Kitchener Scout Group, January 14, 2006

Many decades ago, the North Waterloo Scout Association, which was later renamed North Waterloo District, acquired the lands which we now call Everton Scout Camp, Camp Mohawk, and North Waterloo Scout House. Since the Association, and later the District, was not an incorporated body, it could not be listed on the deed as the legal owner of the property. Instead, the property was held in trust for North Waterloo by a trust company, the Waterloo Trust Company, which later became part of Canada Trust. North Waterloo was the "beneficial owner" of the property and Waterloo Trust was the "legal owner" as trustee. Since it was a trustee, Waterloo Trust was legally obligated to follow the instructions of North Waterloo.

In 1982, the deeds for the three properties were re-registered such that the Scouts Canada Ontario Incorporated Body replaced Canada Trust as the trustee. North Waterloo District continued to be the beneficial owner. This deed, which is still in effect, says that if North Waterloo District ceases to exist and a dispute arises over the property, then the last executive of North Waterloo District decides about the property.

In 2002, Scouts Canada restructured. In the process, North Waterloo District was abolished and replaced with two areas which were later merged to form North Waterloo Area. Scouts Canada, Atironta Region (in which North Waterloo was then located) said in writing that matters of property would continue as usual.

In summer 2004, the Ontario Incorporated Body decided to sell Camp Mohawk as part of their property review. The last executive of North Waterloo District sent a letter to the Ontario Incorporated Body requesting that the deeds be re-registered such that the beneficial owner of the property would be all the Scout groups in North Waterloo. The Ontario Incorporated Body refused.

After a flurry of protest from North Waterloo Scouters, the Ontario Incorporated Body accepted an appeal, putting off the sale of Camp Mohawk. But this decision only lasts five years. After that, it could be for sale again.

Meanwhile, a similar situation was unfolding in St. Thomas over Camp Timken. Camp Timken's deed is very much like the North Waterloo deed: The camp is held in trust for Elgin District, which is the beneficial owner. The Ontario Incorporated Body decided to sell Camp Timken. This decision was also put off for five years on appeal.

However, Elgin groups did not want to go through all this again in five year's time. So they started a law suit against the Ontario Incorporated Body. They are asking the court to rule that the deed means what it says, that is, that the camp is beneficially owned by Elgin groups and that the Ontario Incorporated Body is a trustee.

In this law suit, the Ontario Incorporated Body stated in an affidavit that Scouts Canada property has never been held in trust and has always been owned outright by Scouts Canada.

A very similar situation also exists in South Waterloo over camp Peacehaven. This camp is owned beneficially by South Waterloo and the Ontario Incorporated Body wanted to sell it.

A property trustee has a legal obligation to look after the interests of the beneficial owners of the property. In the case of North Waterloo, Elgin, and South Waterloo, it is the groups within these areas. Over the years, local groups raised the money to purchase and maintain the camps, did the work, and managed the properties for the benefit of the young people in Scouting. If we sit back and do nothing now, we will lose the beneficial ownership in our property. Scouts Canada could then decide to come along and sell it or manage it in any way they like.

What can we do? The courts are there to allow us to defend our legal rights. We can bring a law suit seeking a declaration that the North Waterloo property beneficially belongs to us. Since the suit will be very similar to the Elgin suit, such an action could be merged with theirs. South Waterloo may join as well. It is important that we join Elgin so that it is clear to the judge that Elgin groups are not alone in their belief the Scout property is owned locally.

Since neither North Waterloo nor its groups are incorporated, the law suit would be done by "representative plaintiffs". These are people who volunteer to be the face of our beneficial interest. There are already several volunteers to do this. Lawyers have offered to work on the case at a greatly reduced rate.

At the North Waterloo Scout Property Association meeting on Tuesday, January 24, a motion will be brought authorizing representative plaintiffs to start legal action to defend our interests in Everton, Mohawk, and Scout House. I urge every group and every Scouter to support this action. Please contact me if you have any questions.

Information about the costs issue is in "What's the Risk of Protecting our Property?".